February 2, 2012

Richemont: The Kingdom of Cartier, Piaget, Net-A-Porter, and Chloé

Compagnie Financière Richemont S.A (CFR), or famously known as Richemont, is the ultimate luxury goods holding company that is based in Geneva, Switzerland. The group was created in 1988 as a spin-off of the international assets owned by the Rembrandt Group in South Africa, which establishment was dated back to a long time ago in the 1940s.

Vachehon Constantin Les Masques China watch

CFR is included in the top 10 list of S&P Global Luxury Index with $52.6 billion total market capitalization (total market value of company's shares), placing it on the 7th rank. The index can be seen here. It's also listed as the 9th biggest luxury goods company in the Swiss Market Index which only allows 20 largest and most liquid stocks to be recorded. 

Vacheron Constantin Metiers d'Art Explorer

Their business lines involve several industries such as financial services, tobacco, wines and spirits, jewelries, gold and diamond minings, as well as luxury watches and fashion goods. The general categories for its luxury goods industry are: Watch and jewelry manufacturing, writing instrument, and fashion clothing.

Cartier Love ring

Brands that are fully owned by Richmonte's luxury goods business line as of 2011 are:

- Watches and jewelries, writing instruments
  1. A. Lange & Söhne
  2. Alfred Dunhill, Ltd
  3. Baume et Mercier
  4. Cartier
  5. IWC Schaffhausen
  6. Jaeger-LeCoultre
  7. Montblanc International GmbH
  8. Officine Panerai
  9. Piaget S.A.
  10. Vacheron Constantin
  11. Van Cleef & Arpels S.A.
- Clothing
  1. Chloé
  2. Lancel
  3. Maison Azzedine Alaïa
  4. Net-a-Porter Ltd.
  5. Shanghai Tang

Richemont also has a 60% ownership of Roger Dubuis, the Swiss luxury watches and jewelries manufacturer. In 2007, Richemont also has a joint venture with Polo Ralph Lauren to launch the Polo Ralph Lauren Watch and Jewellery Company.

Montblanc Boheme

Jaeger LeCoultre

The group's luxury businesses operate globally, with Europe as its largest market (40% of sales). As such, they believe that with its diverse geographical operations, all the companies they own are independent of any one market and will present a longterm competitive advantage.

Sourced from Richemont, Bloomberg, S&P, Wikipedia. Images from various sources